IFRS

SEC Reminds Auditors to Follow IASB on IFRS

March 23, 2012

The Securities and Exchange Commission is reminding auditors that their audit reports on financial statements prepared under International Financial Reporting Standards must comply with the international standard, not national flavors of it.
 

Budget Proposal Renews Call for LIFO Repeal

February 28, 2012

Another year, another White House budget proposal to banish last-in-first-out accounting for inventory. As it has each year in office, the Obama Administration is asking Congress to do away with LIFO accounting as a way to raise revenue and align with international standards.
 

SEC Staff Nearly Done With Plan for IFRS Adoption

February 23, 2012

Staffers at the SEC have nearly finished their vision of how the United States might move to International Financial Reporting Standards, SEC Chief Accountant Jim Kroeker said this week. The framework would demonstrate a "strong U.S. commitment" to use IFRS while preserving a role for the Financial Accounting Standards Board to endorse those standards here, he said.
 

Convergence Naysayers Declare IFRS Dead in the US

February 16, 2012

Fed up with what they regard as U.S. fascination over international accounting rules, two notable accounting professors have written their obituary for the story of U.S. adoption of International Financial Reporting Standards. "The quixotic quest to create uniform international standards is dead and done," they assert.
 

IFRS Might Produce Better Earnings, Study Predicts

February 03, 2012

It's tough to predict how financial reporting, particularly earnings quality, would change in the United States if the Securities and Exchange Commission were to adopt international accounting rules, but a recent academic study makes an attempt. Its surprising conclusion: Adopting International Financial Reporting Standards could lead to higher-quality reporting of earnings.
 

FASB, IFRS Foundation Unveil Latest Taxonomies

January 19, 2012

It's not official yet, but the 2012 U.S. GAAP taxonomy is available for public consumption, reflecting changes that occurred as a result of the draft and comment process. The SEC still needs to give its final blessing to the new taxonomy; no date has been set for that. A draft of the XBRL taxonomy for IFRS standards is also available.
 

Accounting: 2012 Could Bring More Questions Than Answers

January 03, 2012

With many of the projects to converge U.S. Generally Accepted Accounting Principles and International Financial Accounting Standards nearing completion, several big questions remain, including what path the SEC will take on whether and how to adopt IFRS. "It doesn't appear those will be resolved or any changes will be effective in 2012," says Bob Dohrer, national director of assurance services for McGladrey & Pullen.
 

SEC Delays IFRS Plans, While Companies Grow Impatient

December 20, 2011

The SEC will miss its long-promised deadline of deciding sometime this year whether to adopt international accounting standards here in the United States—and financial reporting executives at U.S. corporations are starting to show their exasperation. "The lack of certainty is very costly," said Susan Callahan, manager of accounting policy and special studies at Ford Motor Co. All the details are inside.
 

SEC Staff Needs "a Few Months" on IFRS Work Plan

December 05, 2011

It's all but official that the Securities and Exchange Commission will keep us guessing well into 2012 what, if anything, it will decide about the adoption of International Financial Reporting Standards in the United States. James Kroeker, chief accountant at the SEC, said during a recent speech that his staff will take a "measure of a few additional months" to complete its work plan on possible adoption of IFRS. More inside.
 

IFRS Application Could Be Better, SEC Staff Concludes

November 17, 2011

An SEC report says financial statements prepared under International Financial Reporting Standards suffer from diverse practices in different countries and instances where transparency and clarity could be better. It also published a 52-page summary of where IFRS and U.S. Generally Accepted Accounting Standards still differ, as a prelude to an SEC decision on adopting IFRS here. Details inside.
 

FAF Calls for Bigger FASB Role in Condorsement

November 16, 2011

The Financial Accounting Foundation recently sent a letter to the SEC stating that it generally agrees with "condorsement," but that FASB should play a key role in the international standard-setting process. It also wants FASB to maintain its role as the independent standard setter of U.S. accounting rules in the United States.
 

FASB Chair Advocates 'Condorsement,' Calls for Role

October 25, 2011

Leslie Seidman, chairman of the Financial Accounting Standards Board, has ended her silence on whether the United States should adopt international accounting rules, favoring a path known as "condorsement." Under the plan, the United States would move to international accounting rules slowly and carefully on a standard-by-standard basis. More details inside.
 

Slow Going on the Road to Convergence

September 13, 2011

A compromise appears to be emerging on whether U.S. companies should adopt international accounting standards sometime in the future. The basic concept: a long, gradual transition period (which the SEC has been promising anyway), with a fast-track option for companies that want to make the switch sooner. One problem—investors generally hate the idea. All the latest developments in accounting convergence are inside.
 

More SEC Studies Expected Soon on IFRS

August 24, 2011

If they stick to their planned timeline, staff at the Securities and Exchange Commission should publish additional white papers soon that further elaborate on their study of International Financial Reporting Standards with an eye toward possible adoption in the United States. A decision on IFRS adoption is expected by the end of the year.
 

Don't Create 'Little GAAP' for the Wrong Reasons

July 26, 2011

Accounting rulemakers are considering the creation of a new board to weigh separate accounting standards for private companies and create them as necessary. Inside, Columnist Scott Taub argues that end users, not costs, should be the focus of the effort, and that the Financial Accounting Foundation is not the right group to lead it.
 

Building an Effective Training Program

July 26, 2011

With so many new regulations and accounting rules, many companies struggle to perfect training programs that keep employees ready to implement new requirements and avoid compliance risks. What makes an effective training program? Interactive components, continuous learning, and elements that keep employees engaged, for starters. More inside.
 

Investors, Issuers, and Regulators Discuss IFRS

July 12, 2011

The SEC took another step forward last week in its ponderous debate about adopting international accounting standards in the United States, with a roundtable that generally supported the idea. Still, the list of concerns is long—foremost the cost of any transition, especially for small companies. Full coverage is inside.
 

Departing Commissioner Casey Calls on SEC to Adopt IFRS

July 07, 2011

Outgoing SEC Commissioner Kathleen Casey says the Securities and Exchange Commission must decide to incorporate International Financial Reporting Standards into U.S. capital markets, yet give smaller companies some options to continue following Generally Accepted Accounting Principles.
 

IFRS Foundation Delivers Taxonomy Upgrade

June 07, 2011

The IFRS Foundation has published a proposed supplement to its 2011 taxonomy for XBRL filers, the first of two promised improvements intended to satisfy the Securities and Exchange Commission's demands for a more robust taxonomy for use in the United States.
 

U.S. Companies Prepare for IFRS Even as They Oppose It

June 01, 2011

Are U.S. executives beginning to sour on the idea of adopting international accounting standards in the United States? At the Compliance Week 2011 conference in Washington last week, top accountants at Microsoft and Xerox said the costs might outweigh the benefits. Regardless, they say companies must prepare for the possibility of adopting international standards. More details inside.
 

SEC Plans More Public Consult on IFRS Issues

May 23, 2011

Staff of the Securities and Exchange Commission expect to publish three papers in the coming weeks regarding their study of International Financial Reporting Standards and issues tied to possible adoption of those standards in the United States.
 

IASB Shines Light on Hidden Liabilities

May 13, 2011

The International Accounting Standards Board has issued three new standards aimed at bringing off-balance sheet activities into the open. Included in the changes is a controversial ruling to abolish proportionate consolidation, one of the methods that companies outside the United States have used to account for joint ventures. Equity accounting will now be mandatory. More details inside.
 

Delays and Difficulties Mar the Path to IFRS Adoption

May 03, 2011

A series of delays on accounting convergence projects will complicate the SEC's vow to decide this year whether to adopt International Financial Reporting Standards for U.S. companies. Indications of the SEC's thinking are hard to come by, but prognosticators say adoption won't happen anytime soon—if at all. More details inside.
 

International Filers May Get Reprieve on XBRL Reporting Deadline

April 19, 2011

Foreign private issuers that file in the United States using International Financial Reporting Standards are likely to get a reprieve on a looming deadline to start using XBRL technology in their financial reports, because the SEC has yet to approve a taxonomy for IFRS filers. Consider it one more challenge as the United States moves toward global accounting standards. Details inside.
 

IFRS Filers May Get Reprieve on XBRL Compliance

April 12, 2011

Companies that file financial statements in the United States using International Financial Reporting Standards may be getting a pass on the requirement that filers adopt the XBRL interactive-data format for statements filed after June 15. The SEC noted in a letter that it has yet to approve the IFRS taxonomy, making compliance impossible. Details inside.
 

Pace of Accounting Change Remains Fast and Furious

February 23, 2011

Compliance Week is proud to announce the newest edition to our team of expert columnists: Robert Herz, former chairman of the Financial Accounting Standards Board. In his first column, Herz takes us behind the scenes of the standard-setting process and provides valuable insights on the state of convergence and other big accounting issues.
 

Top Ten Reasons Why Convergence Will Not and Should Not Happen

Paul B. W. Miller February 01, 2011

Many accountants take for granted the idea that U.S. and international accounting standards will eventually be converged into identical rules. In a special guest column, Paul B.W. Miller, a former FASB staffer, provides 10 reasons why convergence will not, and should not, happen.
 

Poll: U.S. Companies Not Moving to IFRS Without Mandate

November 01, 2010

Most companies say they could be ready for a move to International Financial Reporting Standards, but won't switch until mandated, even if early adoption is allowed, a survey of accounting and financial reporting executives by KPMG and Financial Executives International shows.Among more than 900 FEI and KPMG IFRS Institute members...
 

AICPA Finds Accountants Still Waiting for SEC on IFRS

October 21, 2010

U.S. accountants are stuck in a holding pattern on International Financial Reporting Standards, getting a little more familiar with what they are but not willing to invest resources into IFRS readiness without more guidance from the Securities and Exchange Commission.That was the finding of the latest tracking survey by the...
 

Panel Prepares Proposal for Private Company GAAP

October 13, 2010

The notion of different accounting rules for private vs. public companies is starting to gain some traction as a “blue ribbon” panel studying the issue is developing a recommendation for exceptions for private companies.The Financial Accounting Foundation, which oversees the development of accounting rules by the Financial Accounting Standards Board,...
 

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